Mortgage broker - ask me anything

House2021

Hi, I was wondering what advice you give clients who are torn between getting a shared ownership property now or buying using Help tobuy equity loan in the Summer with a larger deposit? Affordabilityin both scenarios is fine- its just about giving more time to build adeposit.

simone82

@haras_nosirrah
Hi, can someone give me some advice on whether you think I have any chance of getting a mortgage with a number of defaulted closed accounts?  Please note that all defaults are now fully paid off.  I have managed to save up a good deposit and would like to buy my first home within the next 6 months.
I am really scared and embarrassed to approach the banks/lenders/brokers etc and don't know where to start as I am ashamed of my credit report which is pages long!!!! 
Any advice is greatly appreciated

jamsandwich1

Is it better to pay off your mortgage early and then get a buy to let mortgage, or get a buy to let mortgage and then pay off our original mortgage? or is there no difference?  also does this affect your credit score?

Rach7379

Rach7379 said:

haras_n0sirrah said:

Rach7379 said:

Rach7379 said:

haras_n0sirrah said:

Rach7379 said:

Not sure if this  has already been covered, but we are currently selling a property and are being told that the buyers are waiting on the underwriters and being told it is delayed to 12 - 16 weeks due to covid 19 is this true do you think or do you think we are being given the run around?

12-16 weeks is a long time. Do you know which lender?

Unfortunately I do not know who their lenders is, all I know is that they are going through their huge backlog and they should have an answer soon. Just do not feel like we are being told everything 

Have found out that they are trying to get a mortgage through Santander and that the forms were submitted on 8th October and have still not heard anything 

Santander is on the 8th oct today 

Does that me they should get a confirmed offer very soon or that it’s gone in a queue to the underwriter?

Hi don’t suppose you know how Santander work and that if the application was put in on the 8th Oct that that actually means the underwriter has it or if there is another queue to get the underwriter to look at it??

gizmotitch

Hiya looking for some reassurance. 

We applied for a mortgage with NatWest 3 weeks ago. 

Partner is Self employed. I’m not employed but I have a teachers death in service pension for life ( death of previous husband). 

LTV is only 24%

Valuation was carried out a week ago. 

On the mortgage application tracker everything has a tick next to it. Is this a good sign? 

Mortgage broker is saying it will be another 12 working days before we hear. 

I’m stressing as I’ve been reading such bad things about NatWest and Self employed as a combo. 

Any advice? 

Could they still reject whole application? 

Thanks in advance 

haras_n0sirrah

Rach7379 said:

haras_n0sirrah said:

Rach7379 said:

Rach7379 said:

haras_n0sirrah said:

Rach7379 said:

Not sure if this  has already been covered, but we are currently selling a property and are being told that the buyers are waiting on the underwriters and being told it is delayed to 12 - 16 weeks due to covid 19 is this true do you think or do you think we are being given the run around?

12-16 weeks is a long time. Do you know which lender?

Unfortunately I do not know who their lenders is, all I know is that they are going through their huge backlog and they should have an answer soon. Just do not feel like we are being told everything 

Have found out that they are trying to get a mortgage through Santander and that the forms were submitted on 8th October and have still not heard anything 

Santander is on the 8th oct today 

Does that me they should get a confirmed offer very soon or that it’s gone in a queue to the underwriter?

As long as all the information and documents have been provided then it shouldn't be too much longer

haras_n0sirrah

Densol said:

haras_n0sirrah said:

Densol said:

haras_n0sirrah said:

Densol said:

Are there normal interest rate lenders that lend on net income not gross ? 

One of my pension income’s of £76,000 pa is tax free by legislation. Plus a £6000 normal taxable pension. Plus £6,000 self employed income ( so both within my personal allowance). So effectively I dont pay tax on £88,000 ( monthly net £7335) so equivalent of having to earn £146,000 in the real world. 

The multipliers on £146k are far greater than on £88k 
perfect credit history 
Thanks 

There are some lenders who have a box for non taxable income (usually used for benefit income) - I can check if pensions can be used under this. What ltv and what loan amount?

Oh thank you 

I have £450k equity and want to borrow £600k ish to get a house around £1 mill (keep under 60%LTV )
My partner also earns £46k but house in just my name. 

I would need a bit more info to look at it (why is the pension non taxable for example) - if you want to contact me please send a pm

Thanks 

Its a pension guaranteed for life ( permanent and cannot be reviewed )  due to a permanent injury being caused by the employer, so its tax free. 

I have emailed a bdm of a lender who I think may do it

haras_n0sirrah

House2021 said:

Hi, I was wondering what advice you give clients who are torn between getting a shared ownership property now or buying using Help tobuy equity loan in the Summer with a larger deposit? Affordabilityin both scenarios is fine- its just about giving more time to build adeposit.

You need to check the new max regional property value under the new help to buy scheme from March and see if that will enable you to buy a property you would want

haras_n0sirrah

simone82 said:

@haras_nosirrah
Hi, can someone give me some advice on whether you think I have any chance of getting a mortgage with a number of defaulted closed accounts?  Please note that all defaults are now fully paid off.  I have managed to save up a good deposit and would like to buy my first home within the next 6 months.
I am really scared and embarrassed to approach the banks/lenders/brokers etc and don't know where to start as I am ashamed of my credit report which is pages long!!!! 
Any advice is greatly appreciated

Simone - think of us like doctors. There isn't much we haven't seen to be honest and nothing to be embarrassed about. Things happen and the important thing to know is what can be done to fix it. As a broker I would want to see your credit report so that we can see how it can be fixed and if time is needed then when it would be doable.

haras_n0sirrah

jamsandwich1 said:

Is it better to pay off your mortgage early and then get a buy to let mortgage, or get a buy to let mortgage and then pay off our original mortgage? or is there no difference?  also does this affect your credit score?

It will depend on the rates available as to which way around would be better. It wouldn't affect your credit score